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Business Loans > Small Business Administration 504

How An SBA Loan Can Help You Grow Your Business

Local businesses drive local communities. That’s why Coastal is proud to partner with the U.S. Small Business Administration (SBA) to ensure you can compete and succeed. We offer low down payment, low long-term fixed rate, up to 25-year term loans to those who want to start, purchase, grow or refinance their business. 

Advantages of SBA 504 Financing over Conventional Bank Financing:

  • Fast approvals

  • Streamlined loan process from underwriting to approval

  • Low fixed (life of loan) interest rates for 10-, 20- and 25-year terms

  • As low as 10% down payment, which preserves your business’ working capital

  • Minimum of 51% owner occupied, if a real estate transaction

  • Longer repayment terms, up to 25 years for commercial real estate and up to 10 years on equipment

  • No balloon payments

  • Cash out debt refi

  • Projects from $150,000 to $25 million

How does it work? Coastal will work with a bank of your choice to finance up to 90% of your project.  This includes a bank loan for 50% of the project, the SBA for 40% and your down payment for 10%.  Don’t have a bank?  We can help with that.

What are the terms?

  • 10-year term for equipment and 20- to 25-year term for commercial real estate, ensuring no balloon payments.

  • Interest rates are low and fixed for the life of the loan.

Typical Uses

  • Hotels/Motels

  • New construction and renovation

  • Soft costs

  • Refinance existing debt

  • Business expansion

  • Partner buyout

  • Convenience stores

  • Contractor warehouse buildings (landscapers, builders, etc.)

  • Doctor/Dentist offices

  • Restaurants

  • Office buildings, including condos

  • Manufacturing facilities

  • Heavy machinery, including vessels

  • Law offices

  • Franchises

  • Equipment

  • And many others

Stay Informed: Receive the latest 504 and small business lending information through e-alerts.

Talk to a 504 Loan expert

The rates are for loans approved and funded after October 1, 2018; SBA has waived the upfront guaranty fee and reduced the annual service fee.

Rates are the all-in rates, which are calculated by adding the note rate and servicing fees.

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